Senate File 2192 - Introduced
SENATE FILE
BY HOGG
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to greenhouse gas emissions, specifying
2 greenhouse gas reduction goals, carbon dioxide sequestration
3 assessments, and cost recovery disallowance of designated
4 public utility investments under certain circumstances.
5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
6 TLSB 6250XS 82
7 rn/rj/5
PAG LIN
1 1 Section 1. Section 455B.851, subsection 7, Code Supplement
1 2 2007, is amended to read as follows:
1 3 7. After consideration of a full range of policies and
1 4 strategies, including the cost=effectiveness of the
1 5 strategies, the council shall develop multiple scenarios
1 6 designed to reduce statewide greenhouse gas emissions
1 7 including one scenario that would reduce such emissions by
1 8 fifty to ninety percent by 2050. The council shall also
1 9 develop short=term, medium=term, and long=term scenarios
1 10 designed to reduce statewide greenhouse gas emissions and
1 11 shall consider the cost=effectiveness of the scenarios. The
1 12 council shall establish a 2005 as the baseline year for
1 13 purposes of calculating reductions in statewide greenhouse gas
1 14 emissions and assessing the extent to which the goal is being
1 15 achieved. The council shall submit the proposal to the
1 16 governor and the general assembly by January 1, 2008 2009.
1 17 Sec. 2. Section 476.6, Code Supplement 2007, is amended by
1 18 adding the following new subsection:
1 19 NEW SUBSECTION. 23. COST RECOVERY DISALLOWANCE ==
1 20 GREENHOUSE GAS ATTRIBUTION. In determining or approving rates
1 21 applicable to gas and electric utilities subject to rate
1 22 regulation under this chapter, the board may disallow cost
1 23 recovery of all or a portion of investment expenses incurred
1 24 by the utility on or after July 1, 2008, which the board
1 25 determines are attributable to greenhouse gas emissions and
1 26 associated emission control equipment.
1 27 Sec. 3. CARBON DIOXIDE SEQUESTRATION == FEASIBILITY STUDY.
1 28 The department of natural resources shall conduct a
1 29 feasibility study regarding the potential for carbon dioxide
1 30 storage in underground geological formations in this state.
1 31 The study shall include identification of potential storage
1 32 locations, carbon dioxide gas transmission to storage
1 33 locations, greenhouse gas reduction estimates, and estimated
1 34 costs. The department shall submit a report summarizing the
1 35 results of the study and making recommendations to the
2 1 governor, the director of the office of energy independence,
2 2 and the general assembly by January 1, 2009.
2 3 EXPLANATION
2 4 This bill relates to greenhouse gas emission reduction and
2 5 related matters.
2 6 The bill modifies provisions relating to greenhouse gas
2 7 reduction strategies to be developed by the Iowa climate
2 8 change advisory council to specify a statewide greenhouse gas
2 9 emission reduction goal of from 50 to 90 percent by 2050, when
2 10 compared to 2005 as the baseline year.
2 11 The bill also authorizes the Iowa utilities board, in
2 12 determining or approving rates applicable to rate=regulated
2 13 gas and electric utilities, to disallow cost recovery of all
2 14 or a portion of investment expenses incurred by a utility on
2 15 or after July 1, 2008, which the board determines are
2 16 attributable to greenhouse gas emissions and associated
2 17 emission control equipment.
2 18 Additionally, the bill directs the department of natural
2 19 resources to conduct a feasibility study regarding the
2 20 potential for carbon dioxide storage in underground geological
2 21 formations in this state, and to submit a report summarizing
2 22 the results of the study and making recommendations to the
2 23 governor, the director of the office of energy independence,
2 24 and the general assembly by January 1, 2009.
2 25 LSB 6250XS 82
2 26 rn/rj/5